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• W2488342891 abstract "AbstractPurposeThe purpose of this paper is to describe the interactions between accounting and marketing activities in a Taiwanese telecommunication firm by demonstrating the dramatic impact that improved costing methods had on the firm’s customer portfolio management activities and consequently on the firm’s bottom line.Methodology/approachThe paper presents a case study of a firm in the highly competitive telecommunications industry in Taiwan. The case study was constructed by interviewing key individuals within the organization over an extended period and supplementing those reports with an analysis of internal company documents.FindingsThe firm dramatically increased profitability through the integration of activity-based costing into their customer portfolio framework requiring marketing and accounting functions to work closely together. In this rapidly evolving market, cost allocation and customer portfolio management are indispensable. Identifying accurate costs and keeping key customers is a critical issue for the case company. While theoretically the approach is simple, in practice considerable hurdles needed to be overcome.Originality/valueWhile considerable literature suggests that customer profitability drives the management of an organization’s customer portfolio, critical to the success of such an endeavor is the accurate calculation and allocation of costs to individual customers. As an interdisciplinary study, this paper provides insights for both accounting and marketing highlighting their reliance on each other in a sound firm. The results of this paper will serve as a supplement to past customer portfolio management research as well as a reference for any firm seeking to enhance their approach to portfolio management." @default.
• W2488342891 created "2016-08-23" @default.
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• W2488342891 date "2015-07-17" @default.
• W2488342891 modified "2023-09-25" @default.
• W2488342891 title "The Impact of Improved Costing Methods on Customer Portfolio Management Activities" @default.
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• W2488342891 doi "https://doi.org/10.1108/s1474-787120150000025009" @default.
• W2488342891 hasPublicationYear "2015" @default.
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